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SMN Weekly – Postal Service proposes a slight rise on postage costs

 

 

 

 

 

The U.S. Postal Service on Thursday proposed slight increases for mailing postcards and international letters. However, they desired not to alter first-class “Forever” stamps allowing them to remain at their present 49 cents.

The surges being planned would be implemented starting April 26 if the requests are granted meaning letters to international destinations would rise from $1.15 to $1.20. Postcards would rise from 34 cents to 35 cents. On initial-class mail, every single ounce more than 1 ounce would cost an further 22 cents, up from 21 cents. And letters to all international destinations would go from $1.15 to $1.20.

Despite the three cautionary reports: March 2013 Management Advisory Report; September 2012 Audit Report issued by its Office of Inspector General, and the Advisory Opinion produced by the Postal Regulatory Commission in 2012, the Postal Service is moving ahead with these changes.

Also to note is that the filing with the Postal Regulatory Commission does not affect Postal Service shipping merchandise and solutions. According to the Postal Service, the requested price increases are the newest in a series of measures “to achieve economic stability.”

“By growing volume, income and contribution, the Postal Service will continue to meet America’s mailing and shipping desires properly into the future,” the agency said in a statement. “Even though enhancing efficiency in streamlining its network and looking for legislative alterations, the Postal Service must address an outdated small business model,” it added.

The Postal Service receives no tax dollars for operating expenses and instead relies on the sale of postage, goods and services to raise the revenues needed to spend for its operations. The last change in first-class postage was a three-cent increase to 49 cents that happened Jan. 26, 2014.

Forever stamps bought now are great for first-class postage up to 1 ounce regardless of future rates. This latest round of operational cuts undermines the Postal Service’s primary obligation under the law and threatens the very integrity and concept of Universal Service.

 

However, before going ahead with these alterations, the Postal Service should — at the very least — offer well-supported projections of the impacts on operational efficiency and solid estimates of financial savings before embarking on this new round of cuts and closures.

 

 

 

SMN Weekly – Postal Service proposes a slight rise on postage costs.


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